Apple may ramp up iPhone imports from India to avoid steep new US tariffs on Chinese goods, The Wall Street Journal reports. Last week, President Donald Trump proposed a 54% tax on products from China, prompting the tech giant to explore India—where tariffs could drop to 26%.

Sources say Apple views this as a temporary measure while it seeks to negotiate with the Trump administration for exemptions. The company aims to protect its China-based supply chain, which remains crucial for global operations. Without tax relief and Apple continues importing from China, it may face sharp cost spikes: importing an iPhone 16 Pro, for example, the price could jump from $550 to $850 under the new China tariffs.

India’s role is growing fast. Bank of America analyst Wamsi Mohan notes Apple is set to produce 25 million iPhones in India this year—10 million for Indian buyers alone. If Apple imports all 25 million to the US, it could meet half of the US iPhone demand, easing reliance on Chinese factories.

The move highlights Apple’s scramble to balance costs and supply chains amid escalating trade tensions. For now, India offers a cheaper escape route—but China’s manufacturing muscle stays central to Apple’s long-term plans.